Every year in the United States, thousands of people are victims of card fraud, costing banks and the national economy millions of dollars. Cyber theft has evolved into more inventive methods of stealing money from consumers, which is why precautions must be taken to prevent this from happening in your business.
Card transactions are leading trade and have become the most popular payment method, which is why implementing customer information security strategies should be a priority for commercial establishments. The most recommended solution is to choose technological tools that help you optimize processes, guaranteeing the protection of customer information, complying with privacy regulations and thus avoiding scams.
During 2022, 44% of buyers with credit cards have expressed having suffered from fraudulent eventualities, and since 2013, there has been a significant increase in victims of credit card fraud in the United States, yielding a figure of around 150 million people affected, in relation to previous years.
According to the FTC (the nation's consumer protection agency, whose mission is to protect people from deceptive and fraudulent practices), there have been more than 5.1 million reports, of which 48% have been credit card fraud. credit and 28.1% for identity theft, summarized in online purchases, email payment accounts and thefts through social networks.
If customers usually request card payment, don't lose that sale, make use of payment terminals and grow your business by offering different payment methods.
What are payment terminals?
Payment terminals are electronic devices used by businesses to make payment transactions with credit cards, debit cards or other electronic payment methods. This process improves the experience with the client because it is done safely and immediately after the operation, their supporting receipt is printed.
How do payment terminals work?
It is very easy and intuitive to use a payment terminal:
Step 1. Enter the information and the amount of the purchase. In addition to this, the card type to be used is selected (Credit, debit, EBT, WIC, among others)
Step 2. The device is used. It will depend on the card's technology, if it is magnetic stripe, chip EMV or contact. Immediately the client validates the transaction, sometimes it is necessary to authenticate it with a PIN code and require the client's signature.
Step 3. The payment processor receives the authorization request and sends it to the customer's card-issuing bank. The issuing bank checks if there are sufficient funds and if the card is not blocked. Then, it sends an authorization or denial response to the POS terminal.
Step 4. A printed or digital receipt is generated for the customer, with the details of the transaction, date, description of the purchase and the amount paid.
Step 5. The commercial establishment completes the total closing of transactions and sends them to the payment processor to carry out the settlement. Then, funds are transferred to the business bank account.
For more information on one of the most secure payment processing equipment for businesses, click here.
Payment terminal Technology used for card reading
The world of payment systems is moving forward with gigantic steps. Payment terminals use various technologies to carry out secure and efficient transactions with cards that adapt to the needs of customers. Which usually are:
Magnetic Card Reader: During the payment process, customers swipe the card through the magnetic reader. The information is read from the data encoded on the magnetic stripe.
EMV Technology: Its name originates from the initials of its founders (Europay, MasterCard and Visa) This technology uses an intelligent chip to process information. Generating unique codes for each transaction makes data theft more difficult.
Contactless: Allows the customer to pay, getting their payment card or mobile device close to the device. This technology uses NFC (Near Field Communication) to transmit data over a short distance. No need to insert the card or enter a PIN.
Tips to guarantee transactions in your business:
A business has the responsibility of guaranteeing secure transactions for its customers, having a point-of-sale system and a payment processing system that protects data and minimizes risks. Now, we give you some basic recommendations to make your client's experience satisfactory and safe. Put these into practice!
Trained personnel: Train your employees in the use of technological tools, to identify false cards and to take into account the security protocol in the event of an incident.
Secure and updated payment terminals or dataphones: Choose a technology solutions company that offers you quality and reliable service.
Secure Network: Use a secure and protected network with security protocols that minimize the risk of third parties accessing financial information.
Data encryption: Make use of payment terminals that protect card information while the transaction is in process.
Verify your client's identity: If a client makes a payment with credit card, verify that the card details match their identification details.
Supervise transactions: Do not allow people who do not work in your business to use the dataphones. Track transactions to detect suspicious behavior and thus minimize fraud. If you have suspicions, contact the support hotlines of the company that provides you with the services.
If after reading all this information, you still have doubts, know that at Universum we offer you the best POS on the market: safe, efficient and no small print involved. We emphasize our POS's ability to protect your business's information as well as your customers. We also advise you on the best payment processing equipment for your business.
If you want personalized attention, contact our sales agents at +1-978-416-9964, we offer customer service in English and Spanish.
Don’t forget to follow our social media: